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This paper examines the “connection”between higher education and economic development in Massachusetts, a state whose renowned academic institutions have fueled the rise of a premier high technology industrial district. But in the aftermath to the abrupt demise of the “Massachusetts Miracle”, the state higher education system sought to develop a new mandate for public service in the 90s keyed to upgrading the state‘s industrial base and coordinating with labor market needs. These growing involvements in manifestly vocational endeavors seem to reflect a major shift in the models that articulate the higher education-economic development “connection” in Massachusetts. Thus, it appears that the elite model of the “world-class” research university sparking numerous industry spin-offs has been joined by newer diffusion-oriented models of academic outreach that extend out from the community colleges into the workplace and even into the K-12 schools. [ABSTRACT FROM AUTHOR]